Yen Rangebound, Suga Considers Oct 17 Election

USD/JPY recouped its initial dip Monday and finished the day on a firmer footing, while sticking to a relatively narrow range.

• Japanese media suggested that PM Suga considers a plan to hold the general election on Oct 17, without dissolving the House of Representatives. He may also initiate a reshuffle of LDP executives ahead of party leadership election slated for Sep 29, which would include replacing party SecGen Nikai, who has reportedly accepted the plan.
• Jiji reported Monday that Suga has asked Nikai to oversee works on a new stimulus package, which would be presented as part of Suga's campaign for party leadership.
• Japanese unemployment and flash industrial output will hit the wires shortly, with housing starts and consumer confidence due later today. Later this week, focus will turn to capex & company profits/earnings, coming up Wednesday.
• USD/JPY last sits at Y109.97, a handful of pips higher on the day. Bulls look to take out Aug 27 high of Y110.27, before targeting Aug 13 high of Y110.46. On the flip side, a dip through Aug 24 low of Y109.41 would open up Aug 16 low of Y109.11.